Please return by March 15, 2022
PETITION TO FORM THE
DOWNTOWN MERCED PBID
PROPERTY-BASED BUSINESS IMPROVEMENT DISTRICT
(Pursuant to Sec. 36600 et seq. of the Calif. Streets and Highway Code) This is a petition to initiate special assessment proceedings to form the Property-based Business Improvement District (PBID) in accordance with the Property and Business Improvement District Law of 1994, California Streets and Highways Code Sections 36600 et seq., for the purpose of undertaking and implementing the Management District Plan, a summary of which is attached.
Legal Owner:
Owner % of Total Asse
ssment: %
APN: Parcel Address (if known) Parcel Assessment
$
____
________________
Annual Total $
To complete your Petition please: 1) Check your affirmation YES, 2) Print yo ur name, e-mail address and phone number, and 3) Sign and date below.
YES, I approve of the proposed maximum annual assessment of $ on the parcel(s) identified on this preliminary petition
.
The undersigned swears under penalty or perjury that the undersigned is the record owner or is the authorized representative of the record owner of the parcel(s) identified above. (Print) Name and Title of Owner of Record Email address Phone No. or Representative
Signature of Owner of Record or Representative Date
Please return signed and dated Petition to:
((INSERT ADDRESS))
ATTACHMENT 3
DOWNTOWN MERCED PBID
MANAGEMENT DISTRICT PLAN EXECUTIVE SUMMARY
The Downtown Merced Property-Based Business Improvement District (“PBID”) is being established, pursuant to the California Constitution and the Property and Business Improvement District Law of 1994, as amended. Developed by the formal steering committee, the PBID Management District Plan responds to today’s market opportunities, district challenges, and the City of Merced’s efforts in vitalizing the downtown. The PBID Management District Plan describes how the PBID will improve and convey special benefits to assessed parcels located within the downtown area.
Summary Management Plan
Pursuant to the Property and Business Improvement District Law of 1994 (California Streets and Highways Code § 36600 et seq.) (the “PBID Law”), the PBID is proposed to be formed for a 5- year term. Upon receipt of petitions signed by property owners representing greater than 50% of the PBID assessable budget, the City will initiate a ballot procedure to officially form the PBID.
Governed by an Owners’ Association, the PBID will deliver enhanced services to improve and convey special benefits to properties located within the PBID boundary, above and beyond those provided by the City.
The PBID
will provide enhanced improvements and activities, such as, cleaning the downtown, improving safety, beautifying the downtown, as well as economic vitality, marketing, and special events. Each of the activities is designed to meet the goals of the District; to improve the appearance and safety of the PBID, to increase building occupancy and lease rates, to encourage new business development and attract ancillary businesses and services.
Location The PBID is approximately 40 square blocks of the downtown area. It is roughly bounded by 16
th Street to the South, V Street to the west, 18 th
and 19 th Streets to the north, and G Street to the east. The PBID is allocated into three benefit zones to reflect the level of service and special benefits each parcel will receive. (See Section 3 for boundary description and map.)
Services &
Activities
The PBID will finance services that will enhance the experience within the downtown for property owners, businesses, residents, employees, and visitors, including:
Clean, Safe, and Beautiful:
Community Engagement Team that supports law enforcement, property owners and businesses in overall crime prevention efforts above what the City provides while providing concierge service to customers, residents, and employees.
Maintenance Services that will sweep, scrub and pressure wash sidewalks and public spaces, remove litter, trash and graffiti, and provide/maintain landscaping throughout the District.
Lighting that increases the level of security, which may include lighting the alleyways, decorative street lighting, and tree lighting.
Beautification such as installing and operating streetscape furniture, bike racks, information kiosks, holiday décor, and wayfinding signage.
Economic Vitality:
Marketing and Communication activities to market the downtown and that pro-actively promotes a positive image of the downtown
Special Events that draw visitors to the downtown.
Management:
Administration activities that manage the PBID programs, communicates with stakeholders and advocates on behalf of the district.
The table below itemizes the services and frequency each benefit zone shall receive, e.g., the Downtown Core shall receive 2x the level of service than the Base Level.
PBID Activity
Base
Level
x 1.0
Enhanced
Zone
x 1.5
Downtown
Core
x 2.0
Community Engagement Team X X X
Maintenance Team X X X
Lighting X
Beautification X X
Economic Vitality X X X
Management X X X
Method of
Financing
Levy of assessments upon real property that receive a special benefit from enhanced services.
Budget Total PBID budget for its first year of operations is $585,000, as follows:
EXPENDITURES
TOTAL
BUDGET % of Budget
Clean, Safe, Beautiful $425,000 72.65%
Economic Vitality $50,000 8.55%
Management $110,000 18.80%
Total Expenditures $585,000 100.00%
REVENUES
Assessment Revenues $577,281 98.68%
Other Revenues (1) $7,719 1.32%
Total Revenues $585,000 100.00%
(1) An allowance is made for general benefits that the PBID may provide.
Any PBID services that are found to provide general benefit cannot be paid for with assessment revenue. A certified engineer has estimated that the general benefit from the PBID services accounts for $7,719 of the estimated budget, resulting in a total assessable budget of $577,281.
Assessments Annual assessments are based upon an allocation of program costs and a calculation of lot square footage plus building square footage plus linear street frontage. For example, the Clean/Safe/Beautiful budget is allocated 50% each to building square footage plus linear street frontage.
Economic Vitality budget is allocated 50% each to lot square footage and building square footage. Management budget is allocated 1/3 to each of lot square footage, building square footage and linear street frontage.
Estimated annual maximum assessment rates for each benefit zone for the first year of the PBID are as follows:
Benefit Zone Lot SF Bldg SF Linear
Base Level $0.0113 $0.0997 $3.2074
Enhanced Zone $0.0113 $0.1178 $6.3273
Downtown Core $0.0113 $0.1178 $7.9310
CPI Increase Assessments will be subject to an annual increase of up to 5% per year to address changes in the cost of providing services. The determination of annual adjustments in assessment rates will be subject to review and approval by the PBID Owners’ Association and City Council and will be subject to the requirements of the PBID Law. The Owners’ Association will develop annual budgets and service programs each year which will be presented to the City Council for approval.
City Services The City has established and documented the base level of pre-existing City services. The PBID will not replace any pre-existing general City services.
Existing City
Districts
Upon City Council approval of the Downtown Merced PBID, the City Council shall simultaneously eliminate both the downtown maintenance district and the part of the business license tax that funds marketing and special events, as both these districts’ services will now be provided in the newly formed PBID.
Collection PBID assessments appear as a separate line item on the annual Merced County property tax bills.
District
Governance
The PBID will be managed by a nonprofit organization that will act as the PBID Owners’ Association. The Owners’ Association will be governed by a Board of Directors comprised of a majority of PBID property owners.
The Board will determine PBID annual services and budgets.
District
Formation
The PBID Law requires the submission of petitions signed by property owners in the proposed district who will pay more than 50% of the total assessments (i.e., petitions must represent more than 50% of the $577,281 to be assessed). Petitions are submitted to the City Clerk, who then mails ballots to all assessed property owners. The majority of ballots returned, as weighted by assessments to be paid, must be in favor of the PBID for the City Council to approve the formation.
Duration The PBID’s initial 5-year term will run from January 1, 2023 through December 31, 2027. Any subsequent renewal of the PBID will require a new Management District Plan, petition, and ballot process, any may be renewed up to 10 years.